15/10/03 - County's Construction Services open day promotes better value for Council tax payers & employees

Cumbria County Council has invited interested commercial companies to an open day on Monday 20th October to hear more about how they can bid to run its construction services business.

The construction business provides a wide range of services such as roads maintenance, street lighting, ground maintenance and vehicle operations.  It employs 400 staff and has an annual income of about £25 million before costs.  The decision to externalise the service is part of the Council’s innovative Invest to Save Initiative.  This flagship policy aims to improve service delivery and reinvest capital receipts back into improved council services for council tax payers.  Prospective companies will be expected to guarantee job security and terms and conditions of employment for the construction service’s 400 staff.  They will also be required to demonstrate how they would invest in the business to develop and grow its existing potential.   

Cabinet Member for the Invest to Save Initiative, Cllr Tim Stoddard says

“We welcome the opportunity to talk to prospective companies about running the construction business.  This represents a real opportunity for the long-term development of the business to flourish outside the restraints of local government.  With increasing demands to keep council tax lower, this is the best way we can effectively invest in the future of the business and its workforce.  The long term future and security of the construction service’s workforce will be at the heart of our discussions with prospective companies.  We have kept staff up to date about our plans all the way along.  We will continue to work closely with the trade unions to ensure the best interests of staff are fully represented throughout our negotiations.”

The council is offering potential companies a long-term working arrangement where they will fully manage the business for seven years, extendible for a further three years.  The open day is part of preliminary discussions with potential companies about the externalisation of construction services.  The council will make a final decision about proceeding with the externalisation in January 2004, with the contract awarded at the end of 2004.